Volkswagen sees faster sales in Philippines this year

MANILA, Philippines — The local unit of Volkswagen targets at least 50 percent growth in sales this year as it anticipates recovery in the automotive industry and banks on the rollout of new models and dealerships.

“We aim to better our 2018 sales performance by at least 50 percent, riding on the wave of what is expected to be an industry recovery,” Volkswagen Philippines president Felipe Estrella III said.

Last year, Volkswagen Philippines sold 1,363 vehicles.

Following a sales decline in the Philippine automotive industry last year due to weaker demand for cars with the imposition of increased tax on automobiles and higher inflation, automotive groups are now hopeful of recovery this year.

Estrella said Volkswagen Philippines is confident it can achieve the sales growth target as it intends to introduce new vehicle models, expand its dealership network, and even improve after-sales service.

“In keeping with our intensified efforts of offering more choices to more Filipino car buyers and recognizing the significant demand in the Philippine market, we are working to introduce two new SUVs (sports utility vehicles) in the market,” he said.

He said the company is currently in talks with principals to identify which specific SUVs would be launched in the country where more consumers are switching to spacious vehicles.

Volkswagen Philippines sells the following vehicle models: Santana, Santana GTS, Lamando, Lavida, Passat, Crafter and Tiguan.

In addition to new vehicle models, Volkswagen Philippines is also expanding its dealership network this year by opening in four sites.

Estrella said the first of the four new dealerships would be located in Santa Rosa, Laguna.

At present, Volkswagen Philippines has eight dealerships: Bonifacio Global City in Taguig City, Quezon Avenue in Quezon City, Alabang in Muntinlupa City, Mandaluyong City, San Fernando in Pampanga, Cebu, Iloilo and Bacolod.

The company will also strengthen its after-sales service to help build the brand and draw in more customers.

Estrella said Volkswagen Philippines wants to attract a broad market of individuals aged 20 up to over 60 years old.

“We think our products have broad appeal. We think our styling is quite timeless and elegant,” he said.

He said the company is hopeful this year’s initiatives would “greatly add to the public’s affinity for our brand and will even attract more segments of the market.”

Volkswagen Philippines is part of the Ayala Group.